Charter Capital Report Encourages Small Businesses to Improve Growth Strategies

Factoring company Charter Capital wants business owners to focus on their growth strategies going into Q3/21. In a report entitled "6 Business Growth Strategies for Successful Small Businesses," Joel Rosenthal, co-founder and executive manager of Charter Capital, said owners need to look beyond their brand, products and services and that while these are the building blocks of successful businesses, growth strategies are setting industry leaders apart.

"People are passionate about the businesses they create and often start engaging in all sorts of growth activities at once," Rosenthal said. "The problem with this approach is that it spreads the business too thin and dilutes resources, so growth in any one area is modest at best."

To create measurable results, businesses with finite resources must focus on a single expansion strategy at a time, such as market development, market penetration or product expansion, according to the report. Once researched and tested, all development activities can then be built around the selected model, serving as a firmer foundation for growth.

"Oftentimes, we see business owners creating goals before they've chosen a model or researched the viability of their strategy," Rosenthal said. "You need to understand the purpose or methodology before you set goals though. Maybe you can double your sales or increase active customers by 25%, but you must do the work beforehand to see where this growth can potentially come from."

Mapping out end-to-end resources is an essential step too, according to the report. In addition to identifying the non-negotiable resources required to carry out tasks related to the goal, the report encourages business owners to create a list of helpful resources that will allow their teams to work more efficiently, grow their businesses faster and address issues along the way.

"Raw resources, supplies, tools and equipment are generally at the forefront of minds," Rosenthal said. "However, funding, especially back-up funding, as well as professional service providers such as lawyers or consultants, are often overlooked."

Invoice factoring can play a key role in business growth strategies, according to Rosenthal. When companies need a quick cash injection to kick off their plans or money runs tight during execution, they can tap into their unpaid B2B invoices to get things moving.